California city votes to permanently ban data centers in first-of-its-kind measure
Voters in Monterey Park, California, overwhelmingly approved a ballot measure to permanently ban data centers within city limits. This decision follows months of community opposition to a proposed data center project by HMC StratCap and DigiCo, which was later withdrawn. Concerns over air quality, drinking water, electricity, and water rates drove the public's support for the ban.
Voters in Monterey Park, a Southern California city, have overwhelmingly approved Measure NDC, a ballot initiative that permanently prohibits data centers within city limits. The measure passed with 88.34% of the vote, effectively amending the city's General Plan to ban such facilities indefinitely unless voters choose to reverse it in a future election.
The vote comes after significant community opposition to a proposed data center project at 1977 Saturn Avenue. The project, put forth by Australian investment firm HMC StratCap through its DigiCo platform, aimed to develop a 218,400-square-foot data center. Opponents raised concerns about the facility's potential impact on air quality, drinking water resources, public health, and electricity and water rates, despite estimates that it would generate approximately $5 million annually in tax revenue and require about 50 megawatts of peak electrical capacity. The controversy led to the project's withdrawal and prompted the Monterey Park City Council to place the prohibitory measure on the June ballot.
Mayor Elizabeth Yang celebrated the "Landslide win!!" on social media, hailing it as a historic step for the city. This decision highlights growing local resistance across the United States to the expansion of digital infrastructure, particularly data centers needed for AI and cloud computing, amidst debates over energy and water consumption, land-use planning, and local economic benefits.